The government has published the response to its consultation earlier this year and the good news is that the Limited Company opt-out has not been touched, neither for limited company contractors nor for umbrellas. A change had been widely feared, and so this news is very welcome.
Changes are proposed to modelling recruitment companies and for those companies operating online.
Employment Agencies and Employment Businesses will no longer have to state what type of recruitment company they are in advertisements, but instead state whether the vacancy being offered is ‘temporary’ or ‘permanent’. Also, Employment Agencies will no longer have to carry out suitability checks for permanent candidates unless it is for a position where there will be contact with children or vulnerable adults nor will they have to agree terms with candidates or hirers before an introduction- although it will make commercial sense to continue to do so.
Adrian Marlowe said, “This is an undoubted success for us at Lawspeed as the opt-out plan, which we originally designed in 2002, has proven to stand the test of time and will now be retained. We will now focus further on the Agency Workers Directive in conjunction with the Association of Recruitment Consultancies”.
For more information and to make your voice heard contact Lawspeed and our membership organisation the Association of Recruitment Consultancies (ARC) for more details.